CHARLESTON, S.C. (WCSC) - By now, many Americans who qualify are seeing the much needed stimulus money in their accounts.
As stimulus money trickles into bank accounts for millions of people, financial experts like Debbi Kidd expect much of that money will more than likely be spent on needs versus wants.
Kidd cautions how you spend your stimulus check can make all the difference in your finances.
“It’s to help you get through the next month, the next two months to pay bills. If you have children and are getting a substantial amount, please don’t think of it as spending money,” Kidd says.
She says a good first plan of action for your stimulus is to make a budget of priorities and what you need to use the money on.
“Maybe pay your rent ahead of time or utility bill, definitely think about it. Make a budget for that money,” Kidd says.
She says don’t look at your stimulus check as just a windfall to just spend.
“Put it aside and don’t be frivolous with it because we might not see another one. It may be several weeks or a month before we see more money come in,” Kidd says.
For people who are still working and depending on your financial situation Kidd says if your job is secure that leaves the door open for other options to take advantage of with your money.
She says it’s important to build an emergency fund during this time of uncertainty or invest that money.
“The stock market took a crash and investors are saying how this is the time to invest in, when the price is really low,” Kidd says.
Kidd says another good option for that stimulus check is to put it in your 401K or in a CD at the bank.
She says that’s somewhere to hold onto to your stimulus money so you’re not tempted to just spend it.